DAMAGE CONTROL: The safer your car, the less you pay

I’ve been getting a lot of calls lately from people trying to sell me some or the other type of insurance.

It’s either home insurance, structural insurance, medical insurance, car insurance, or the latest thing called gap cover.

For those of you who don’t know, gap cover is actually insurance for the things your insurance doesn’t cover.

So you may have a medical aid hospital plan, but it may not cover you for crutches when you leave the hospital. That’s where gap cover comes in. But that’s not what I want to talk about.

When I got a call in the week about vehicle insurance, I decided not to slam the phone down and give the poor telemarketer a few minutes. She went through the usual preamble about how the call is being recorded for quality purposes blah blah blah. And then proceeded to ask me some questions about my car.

And that’s when it struck me what a scam insurance actually is. The less chance there is of my car getting stolen or being in an accident, the less I pay. 

So in theory, if my car is parked inside a garage that’s behind a gate with an electric fence, guarded by a Doberman armed with an AK47 and inside a safe that can only be opened with a blood sample from the Pope, then I wouldn’t pay a cent for insurance. The same goes for your house.

 If you make sure nobody can break into your house, then your insurance premiums are low. But if nobody can break into your house, then what’s the point of insurance?

Of course you also get extra points if you haven’t claimed in a number of years and more points if you haven’t been in any accidents. Basically insurance companies will ensure that they never have to pay you a cent, before they will insure you. It is clever business, but also infuriating.